The largest restaurant companies in the world are primarily chain operations with a major international presence. Many have positioned themselves to weather economic cycles by maintaining consistent, profitable growth over the long term and some are holding companies that control a variety of subsidiary chains.
These are the 10 biggest restaurant companies by revenue as of Dec. 31, 2023. All figures are taken from YCharts unless stated otherwise. This list is limited to companies that are publicly traded in the U.S. or Canada, either directly or through American depositary receipts (ADRs). Some foreign companies may report semiannually, and so may have longer lag times.
Key Takeaways
- The largest restaurant companies in the world are primarily chain operations with an international presence.
- Compass Group and Starbucks are the two largest restaurant companies as of 2023.
- McDonald's is the largest fast-food chain.
- Yum! Brands is based in China and is the largest quick-service restaurant company in the world.
- Domino's and Bloomin' Brands round out the top 10.
1. Compass Group PLC
- Revenue: $38.07 billion
- Net Income: $1.61 billion
- Market Capitalization: $47.17 billion
- 1-Year Trailing Total Return (Daily):
- Exchange: Over-the-counter (OTC) markets
Compass Group PLC (CMPGY) provides clients with a wide range of innovative dining solutions across five sectors including business and industry, education, and senior living. Compass operates in 35 countries with 55,000 client locations and serves 5.5 billion meals globally each year.
Aside from business and industry, the company also operates in healthcare and senior living, education, and sports and leisure. The company also has a segment in the defense, offshore, and remote sector.
2. Starbucks
- Revenue: $35.98 billion
- Net Income: $4.29 billion
- Market Cap: $101.91 billion
- 1-Year Trailing Total Return (Daily): -5.78%
- Exchange: Nasdaq
Starbucks (SBUX) is the world's dominant coffee shop-themed chainwith 38,038 stores globally as of the end of 2023. It has both company-owned and licensed stores globally and sells specialty beverages such as coffees and teas along with fresh food items.
Starbucks also sells branded items outside of its stores, such as roasted whole bean and ground coffees, including Seattle's Best Coffee; Starbucks, Teavana-branded single-serve products, and ready-to-drink beverages like Frappuccino.
3. McDonald's
- Revenue: $25.49 billion
- Net Income: $8.47 billion
- Market Cap: $203.09 billion
- 1-Year Trailing Total Return (Daily): 6.60%
- Exchange: New York Stock Exchange (NYSE)
McDonald's (MCD) is the world's largest fast food restaurant chain and one of the best-known brand names. The company had 41,822 locations in about 100 countries.
A pioneer in the fast food industry, the company has maintained consistent, moderate growth through affordable prices, speedy service, and constantly expanding and refreshing its menu offerings.
4. Yum China Holdings
- Revenue: $10.98 billion
- Net Income: $827 million
- Market Cap: $15.28 billion
- 1-Year Trailing Total Return (Daily): -31.37%
- Exchange: NYSE
A spin-off of Yum! Brands (YUMC) in 2016, Yum China Holdings is a Fortune 500 company incorporated in the United States but headquartered in Shanghai. It operates thousands of restaurant locations across mainland China. Yum China also operates all Chinese versions of Pizza Hut, Taco Bell, and KFC, as well as local chains.
5. Darden Restaurants
- Revenue: $10.49 billion
- Net Income: $1.01 billion
- Market Cap: $20.69 billion
- 1-Year Trailing Total Return (Daily): 20.39%
- Exchange: NYSE
Darden Restaurants (DRI) owns and operates a line of casual and fine dining restaurant chains including brands such as Olive Garden, LongHorn Steakhouse, Bahama Breeze, Seasons 52, Eddie V’s, and Yard House. The company was spun off from General Mills (GIS) in 1995.
Some of these stocks are only traded over-the-counter (OTC) in the U.S., not on exchanges. Trading OTC stocks often carry higher trading costs than trading stocks on exchanges. This can lower or even outweigh potential returns.
6. Chipotle Mexican Grill
- Revenue: $9.87 billion
- Net Income: $1.23 billion
- Market Cap: $75.57 billion
- 1-Year Trailing Total Return (Daily): 72.39%
- Exchange: NYSE
Chipotle Mexican Grill (CMG) is a successful chain selling simple, fast-casual Mexican food, specializing in burritos, tacos, bowls, and similar dishes. The company operated 3437 locations in 2023 with additional restaurants in the U.S., U.K., Canada, France, and Germany.
7. Yum Brands
- Revenue: $7.08 billion
- Net Income: $1.6 billion
- Market Cap: $38.46 billion
- 1-Year Trailing Total Return (Daily): 9.49%
- Exchange: NYSE
Yum! Brands (YUM) is the largest quick-service restaurant company in the world, with more than 55,000 restaurants in 155 countries. The company is known for its franchise chains KFC, Pizza Hut, Taco Bell, and WingStreet. The majority of the company's locations are franchised by 1,500 partners. Yum! Brands was first established as a spin-off of PepsiCo (PEP) in 1997.
8. Restaurant Brands International
- Revenue: $7.02 billion
- Net Income: $1.19 billion
- Market Cap: $36.67 billion
- 1-Year Trailing Total Return (Daily): 36.49%
- Exchange: NYSE
Restaurant Brands International (QSR) is among the largest global quick-service restaurant chains in the world. It was established by the merger of Burger King and Canadian coffee chain Tim Hortons in 2014, then valued at$12.5 billion.
The company purchased Popeyes Louisiana Kitchen in 2017. Restaurant Brands operates more than 30,000 restaurants in more than 100 countries and territories.
9. Domino's Pizza
- Revenue: $4.48 billion
- Net Income: $519.12 million
- Market Cap: $15.38 billion
- 1-Year Trailing Total Return (Daily): 44.45%
- Exchange: NYSE
Domino's Pizza (DPZ) is the largest pizza company in the world, with more than 20,000 stores in 90 countries. Domino's offers a wide range of pizza products, such as traditional hand-tossed pizza, Brooklyn-style pizza, and pizza with crunchy, thick crusts. More than 98% of Domino's stores in the U.S. are franchise-owned.
10. Bloomin' Brands
- Revenue: $4.67 billion
- Net Income: $247.39 million
- Market Cap: $2.45 billion
- 1-Year Trailing Total Return (Daily): 16.14%
- Exchange: Nasdaq
Bloomin' Brands (BLMN) is a restaurant holding company that owns chains including Outback Steakhouse, Carrabba's Italian Grill, Bonefish Grill, and Fleming's Prime Steakhouse & Wine Bar. Bloomin' Brands has nearly 1,450 restaurants worldwide.
What Is the World's Largest Restaurant Company?
The world's largest restaurant company is Compass Group PLC. It reported $38.07 billion in annual revenue in 2023.
How Safe Are Restaurant Stocks?
Restaurant stocks tend to be fairly safe bets and generally do very well. That's because people tend to fare well during times of economic distress. Value and fast food chains, such as McDonald's and Domino's, tend to do well over the long term. Keep in mind that these companies' stocks may be affected temporarily by bad news. For instance, Chipotle's stock price dropped when news broke of an e.Coli outbreak at restaurants in several states.
Which Sector Do Restaurants Belong to in the Economy?
Restaurant companies are generally considered consumer discretionary stocks. This sector represents what people want rather than need. This means that people tend to buy from companies in this sector when they have the money to spend. Restaurant companies often do well, though, even when times get tough. Although people may cut down, they still tend to eat out even when the economy slows down.
The Bottom Line
Compass Group, Starbucks, and McDonald's are the three largest restaurant companies, serving billions of people across the world. These companies tend to be well-positioned against shocks in the economy, as people usually want to eat out even when times get tough. If you're an investor who wants to add restaurants to their portfolio, make sure you do your research about which company works with your goals and investment style. When in doubt, consult a financial professional.
